What does human-centric AI mean?
According to Wachell, the really important factor is to use machine learning and AI technology in a human context. A truly rich potential lies between clients and their advisors in a hybrid human context, and so much assistance can be given to that advisor–client relationship.
“We’re focused on how we can add value to that advisor–client relationship and design our software for multiple users so that using the software contributes to learning the system,” Wachell says.
Modeling human behavior is at the core of what Responsive AI does. Logan Grosenick, its chief science officer, spent 12 years applying machine learning to animal and human behaviors and studying how brain activity leads to different personality types. Responsive AI uses scientific methods to understand the cyclical nature and seasonality of human life. It also studies what types of cyclical behaviors predict certain outcomes, how to detect when a person’s life really changes, and other human-centric factors.
Among the problems of providing both human-centric AI and quality focused advice, Wachell lists the mismatched experience in wealth management that people face, especially in European and Canadian markets, as one of the most difficult. For example, while one person tries to issue a loan to a client, another person else tries to sell that same client a portfolio product.
“I think people want a unified advice framework around their financial services," Wachell notes. “Those who focus on that right are probably going to involve people—not robo-advisors—involve a hybrid model, and make a lot of money.”
Takeaways
One fact is indisputable: It’s time to give AI a chance to prove itself valuable. Market changes come rapidly, forcing companies to innovate strategies for years to come. AI and human-centered services are parts of Wachell and his company’s plan. What about yours?
About
Davyde Wachell has spent the past 12 years in fintech. He’s a wealth manager and second-generation quant finance specialist. After he studied AI in the Symbolic Systems Program at Stanford University, he designed investment management research and compliance platforms until he created Responsive AI four years ago to address wealth management for the future and optimize how advisors serve their clients.
Vasyl Soloshchuk is CEO and co-owner at INSART, a fintech and Java engineering company. Vasyl is also the author of WealthTech Club, which conducts research into Fortune 500 companies and start-up robo-advisor and wealth management companies.